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Nvidia AI Server Prices to Rise Over 15% as Memory Chip Costs Surge

Nvidia Corp. customers have been informed that server prices equipped with its AI chips could rise more than 15%, according to reports. Nvidia AI Server Prices Could Rise…

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Nvidia Corp. customers have been informed that server prices equipped with its AI chips could rise more than 15%, according to reports.

Nvidia AI Server Prices Could Rise 15% or More

The price increase is expected to apply to systems shipping in early 2027 and will affect servers powered by platforms including Vera Rubin and Grace Blackwell, according to Bloomberg News on Sunday, citing people familiar with the matter.

The size of the increase will depend on the generation of Nvidia chips and memory configurations, the report said.

Server companies that build systems for major data center operators, including Microsoft Corp., Alphabet Inc.'s Google, and Oracle Corp., have reportedly notified customers of the upcoming price increases.

Nvidia did not immediately respond to a request for comment.

Surging Memory Chip Costs Drive Up AI Infrastructure Bills

The reported price increases come as demand for memory chips continues to surge.

Memory chip makers such as Samsung Electronics, SK Hynix Inc. (ADR), and Micron Technology Inc. have gained greater pricing power as AI infrastructure spending strains supply.

Tech giants including Apple Inc. and Qualcomm Inc. have also raised or announced plans to raise prices due to supply chain constraints caused by surging memory chip costs and an ongoing chip shortage.

Nvidia Earnings in Focus

The development comes as Nvidia prepares to report second-quarter results on August 26. Analysts expect Nvidia's revenue to jump 96% to $92 billion, according to data. Meanwhile, third-quarter guidance is expected to come in at $103 billion.

Price action: Nvidia shares closed at $214.72 on Friday, down 0.98% for the day. The stock was quoted at $214.68 in premarket trading Monday, down 0.02%. Over the past 12 months, Nvidia shares are up 19.41%. According to Edge rankings, Nvidia ranks in the 99th percentile for growth and has maintained positive price trend ratings across short, medium, and long-term timeframes.

Original: https://www.benzinga.com/markets/tech/26/08/61375602/nvidias-ai-servers-are-about-to-get-even-more-expensive-as-rising-memory-costs-push-prices-up-more-than-15-report

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